Having already inked deals with Warner Music Group and Universal Music Group (as well as indie label network Merlin), SoundCloud announced today that they’ve signed an agreement with Sony Music Entertainment as well. Now that they have licensing deals with all three major labels, SoundCloud appears poised to launch the paid subscription model that CEO Alexander Ljung recently hinted at.
It will be interesting to see how they plan to integrate a paid portion and monetize the platform without alienating the millions of users who have been using SoundCloud for free all these years.
In a press release, representatives of the company said the deal “creates a range of new revenue opportunities on SoundCloud for artists signed to SME plus its affiliated and distributed labels, including those distributed by The Orchard and RED Distribution. This major new partnership provides SoundCloud listeners with access to music from SME’s exceptional roster of emerging artists and global superstars, and supports SoundCloud’s continued investment in monetization.”